An LP is a partnership consisting of a minimum of two partners, with at least one general partner and at least one limited partner. An LP does not have a separate legal entity from the partners. A general partner is responsible for the actions of the LP and is liable for all debts and obligations of the LP. A limited partner is not liable for debts and obligations of the LP beyond their agreed contribution, provided they do not take part in the management of the LP. Profits are either taxed at the partner’s personal income tax rates (if individual) or corporate tax rate (if a corporation).